ANGELA Merkel has vowed to lure business from the City of London after Brexit as part of her desperate deal to stitch together a German coalition government.

Her pact with Martin Schulz’s left-wing Social Democrats pledges to steal London's crown as Europe’s financial centre as the coalition tries to make Germany more attractive to the world’s most powerful banks and finance companies.

A draft of the coalition agreement states: “In light of the upcoming withdrawal of the UK from the EU we are going to make Germany more attractive for financial institutions."

And the document warns Germany will "strive for attractive conditions" in the sector.